ATSG, a global technology provider for cloud, IT managed services and cybersecurity, completed a transaction to combine its operations with those of Evolve IP, which offers desktop-as-a-service, UC, contact center and other cloud services.
The merger is expected to accelerate ATSG’s services and solutions, enhancing the combined entity’s ability to solve interconnected, complex technology challenges. The combined organization is expected to have over $230 million in revenue and serve 950,000+ end-users across 1,700 global customers. The vast majority of the combined company’s revenue is MRR, under long-term contracts.
ATSG – which is backed by RunTide Capital – will have a controlling majority. Investment funds managed by Morgan Stanley Private Equity Secondaries, through a vehicle managed by RunTide Capital, provided the equity financing to complete the combination.
ATSG expects to integrate solutions from both companies into a broader, stronger managed services portfolio that benefits mid-and-enterprise customers. The joint company will feature an expanded market presence while creating greater value by harnessing pooled assets, resources and expertise, and leveraging ATSG intellectual property. The combined organization will seek to transform customers into evangelists, driving organic growth and cementing its position as an end-to-end managed services provider while continuing to win in numerous industry verticals.
“Evolve IP offers an innovative, market-leading suite of desktop-as-a-service, cloud-communications, and contact center solutions. Combined with ATSG’s infrastructure-centric managed services, we will strengthen our collective position in the market and provide better outcomes for our combined base of customers,” said Russ Reeder, CEO of ATSG and go-forward CEO of the combined company. “By combining with Evolve IP, not only are we combining our collective expertise, culture and services, we’re also positioning ATSG to emerge as one of the largest privately-owned managed services platforms with an ability to drive value for all of our stakeholders.”
“This journey marks a transformative step forward for Evolve IP and all of our customers,” said Jeff Coursen, CEO, Evolve IP. “This aggregation of our talent, tools and resources is a testament to our commitment to pioneering the industry and will enable us to offer maximum value for our customers. We are looking forward to leveraging ATSG’s rich platform of intellectual property and suite of services capabilities to deliver an increasingly end-to-end solution for our customers.”
